Reliance Capital gains on equity sale reports

Shares of Reliance Capital today rose sharply following reports that the company may sell a 10 per cent stake to Japan's Mitsubishi Trust Holdings.
The stock was trading 1.4 per cent higher at Rs 632.45 in early afternoon trade at the BSE after paring its initial gains. It touched a high of Rs 643 in the opening trade with a gain of over three per cent.
According to media reports, Mitsubishi Trust would pick up a 10 per cent stake for about USD 400 million (Rs 2,400 crore). When contacted, a Reliance Cap spokesperson declined to comment.
The company currently commands a market value of about Rs 15,500 crore.

Reliance Capital is the financial services arm of Anil Ambani-led business conglomerate Reliance Group and was one of the aspirants for a banking licences.
In June 2013, Reliance Cap had said it would apply for a new banking licence in partnership with Sumitomo Mitsui Trust Bank Ltd and Nippon Life Insurance Co, while the two Japanese firms would pick up 4-5 per cent stake each in the proposed bank.
However, Reliance Cap's name did not figure in the first list of new bank licences announced by RBI and therefore the Mitsubishi-Nippon deal has not materialised as yet.